The Price of Gas: New Report to Congress Tracks Military's Fuel Spending

08/11/2008 8:06 PM ET

The Pentagon has paid increasing amounts for fuel in its operations in Iraq, according to a recently released report by the Congressional Research Service (CRS). In its report summary, CRS writes:

Since the invasion of Iraq in 2003, the average price of fuels purchased for military operations in Iraq has steadily increased. The disparity between the higher price of fuel supplied to the United States Central Command compared to Iraq’s civilian population has been a point of contention. Several factors contribute to the disparity, including the different types of fuel used by the military compared to Iraqi civilians, the Iraqi government’s price subsidies, and the level pricing that the DOD’s Defense Logistics Agency charges for military customers around the world. The Iraqi government has been pressured to reduce its fuel subsidy and black market fuel prices remain higher than the official subsidized price.